Tag: PSA

PSA Dealing With Increased Peugeot 2008 Demand In Europe

If there’s still anybody out there who thinks that small crossovers aren’t slowly but surely taking over the world, well, there’s nothing like a spike in demand during times of a global pandemic to help change someone’s mind about a developing trend.

In this particular case we’re dealing with a high demand for Peugeot’s second-gen 2008 crossover, built at PSA’s factory in Vigo, Spain. It features both internal combustion as well as fully electric variants.

Given this recent development, PSA has had to add a fourth shift to the plant’s assembly line, meaning that the two lines will both be working four shifts for the very first time, reports Autonews Europe.

Watch: 2020 Peugeot e-2008 – A More Practical Hatchback With Electric Power

No fewer than 600 additional employees have been brought on to staff the shift, bringing the factory’s total to 7,500 workers. The Vigo plant opened its gates in 1958 and currently has a capacity of roughly 420,000 vehicles per year.

The new shift will increase weekend production to 2,400 cars, half of which will be Peugeot 2008 crossovers. This tiny and quite trendy model has already proven to be a strong seller, as 19,773 units departed showrooms in the month of July, trailing the best-selling Peugeot 208 by only a few hundred units. The latter happens to be the PSA Group’s best selling car.

Based on PSA’s CMP platform (launched in late 2019), the second-gen 2008 is available with a selection of gasoline, diesel and electric powertrains. The fully electric e-2008 is powered by a 50 kWh battery pack and a 136 HP electric motor.

PSA Boss Carlos Tavares Says FCA Merger Is Still On Track

PSA chief executive Carlos Tavares says that his company’s $50 billion merger with Fiat Chrysler Automobiles will go forward as planned and deliver synergies of at least 3.7 billion euros ($4.2 billion).

“The merger with FCA is the best among the solutions to cope with the crisis and its uncertainties,” said the PSA boss, who also stated that this deal has become more vital than ever given the impact of the coronavirus pandemic, reports Autonews Europe.

“The timetable of the merger with FCA is being strictly respected,” he said, while adding that the previously mentioned projected synergies of 3.7 billion euros from the deal were actually the “floor”.

Read Also: PSA Group Wants Full Control Of Its EV Powertrain Production

Tavares also played down the EU’s antitrust investigation of his company’s merger, saying that he was confident it would all be finalized in the first quarter of 2021 “at the latest”. Meanwhile, EU antitrust regulators began their four-month investigation into the deal last week, claiming that it could lead to negative ramifications in the small van segment across 14 EU countries and Britain.

Neither PSA nor FCA offered concessions to alleviate these concerns while the issue was still in a preliminary review stage.

The PSA CEO then said that the “time has not come to discuss this issue,” when asked if the terms of the merger could be revised to reflect the downturn of the entire car industry on a global scale.

Still, one aspect of the merger has already been revised. Back in May, the two companies said that they would not pay their planned ordinary dividend on 2019 results, blaming the negative impact of the COVID-19 pandemic.